Miscellaneous Economics Mcqs

A. previous decisions
B. absolute income
C. relative income
D. permanent income

A. the marginal propensity of expenditure
B. the marginal propensity to save
C. the average propensity to consume
D. the marginal propensity to consume

A. exogenous
B. constant
C. endogenous
D. independent

A. Reduces the interest rate
B. Buys and sells bonds and securities
C. Increases taxation
D. Increase the exchange rate

A. Individuals hold money just in case an emergency happens
B. Individuals hold money to buy things
C. Individuals hold money rather than other assets because they are worried about the price of the other assets falling
D. Individuals hold money to shop

A. Reduce the interest rate
B. Increase the interest rate
C. Increase inflation
D. Decrease deflation

A. Increase aggregate demand
B. Increase savings
C. Decrease consumption
D. Decrease exports

A. An idle because
B. An active balance
C. Directly related to interest rates
D. Inversely related to income

A. Accelerator
B. Aggregate demand
C. Monetarism
D. Multiplier

A. Past levels of income
B. Future expected profits
C. Present national income levels
D. Historic data